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Avataar’s new Velocity tool creates AI‑driven product videos directly from URLs, already used by brands like HP and Victoria’s Secret, aiming to boost
Avataar, the Peak XV and Tiger Global‑backed startup, unveiled Velocity—a tool that automatically generates product videos from a simple product link [1]. The service, which builds on the company’s AI‑powered imagery and 3D modeling background, is already being deployed by major brands such as HP, Victoria’s Secret, Lowe’s and Newegg.
Key takeaways
Founded in 2015 by former Microsoft and Deutsche Bank employee Sravanth Aluru, Avataar initially focused on interactive experiences, AI‑enhanced imagery and 3D models for e‑commerce [1]. After raising over $55 million, the company shifted toward video generation, testing a semi‑automated version of its tool with clients in February 2024 [1]. By September 2024, the fully automated Velocity platform entered commercial testing, promising to produce videos at scale without human intervention [1].
Aluru explains that while 3D models typically achieve higher conversion rates than videos, the sheer reach of video content can drive more overall sales [1]. Velocity is designed to fill the gap for products that lack dedicated video budgets, enabling brands to “cover entire catalogs” and improve customer experience through motion and storytelling [1]. The company also emphasizes brand‑safety guardrails that detect and reject inaccurate or inappropriate outputs [1].
Avataar’s launch puts it in competition with larger players such as Amazon and Google, which are also experimenting with AI‑powered video tools for advertising [1]. Investor Amir Konigsberg notes that while many firms are tackling components of the video‑generation pipeline—like background creation or photorealistic rendering—the challenge lies in delivering consistent, high‑quality videos that respect licensing and attribution standards [1]. He adds that recent advances in generative models have finally made scalable AI video production feasible for e‑commerce [1].
Velocity reflects a broader trend of using generative AI to lower the cost barrier of video production, a medium that typically outperforms static images in engagement and conversion. By automating video creation from product links, Avataar aims to democratize access to dynamic content for a wider range of products, potentially reshaping how online retailers present their inventories. As brands adopt the tool and integrate its API, the e‑commerce landscape may see a surge in video‑rich listings, prompting competitors to accelerate their own AI video initiatives.
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AI-assisted synthesis by the TrendWatcher Editorial Desk · sourced from 2 outlets · Jun 12, 2026 · How we report
The mission aims to foster local AI development by providing startups with subsidized GPU compute and infrastructure in exchange for releasing their models publicly.
Avataar uses model distillation to compress large, general-purpose models into smaller, task-specific versions that require significantly less compute power to run.
Yes, Varya is available to try on the company's website, and it will be released as an open-weight model on India's AI Kosh portal for developers.